CEA Cheat Sheet 2026

The 30 highest-yield CEA facts, distilled from real exam questions. Print it, save it as a PDF, or study it here — free, no sign-up.

1. Under the Sarbanes-Oxley Act (SOX), which employees are protected when reporting suspected securities fraud? → Employees of publicly traded companies who report to supervisors, regulators, or Congress
2. Which of the following best describes the 'preponderance of evidence' standard used in most workplace ethics investigations? → It is more likely than not (>50%) that the alleged conduct occurred
3. Which of the following best describes a key competency required for ethical leadership development in CEA practice? → Strong analytical skills combined with effective communication and ethical judgment
4. Which of the following scenarios represents a conflict of interest for an ethics investigator? → The investigator previously managed the subject of the investigation
5. An employee refuses to follow a supervisor's instruction because it violates company policy. This is an example of: → Ethical courage
6. Under the Sarbanes-Oxley Act (SOX), which requirement directly supports ethical financial reporting? → CEO and CFO personal certification of the accuracy of financial statements
7. Why is compliance important in corporate governance? → To ensure legal and regulatory adherence
8. Which of the following payments is explicitly exempt from the FCPA's anti-bribery provisions? → Payments to expedite routine, non-discretionary government actions (facilitation payments)
9. According to social contract theory, the source of moral obligations among individuals is: → Mutual agreements that rational people would consent to
10. Which international agreement set legally binding targets for reducing greenhouse gas emissions among signatory nations? → The Kyoto Protocol
11. In the context of business ethics, 'stakeholder theory' argues that organizations have ethical obligations to: → All parties affected by the organization's decisions
12. What is the primary reason that ethics investigations should be completed in a timely manner? → To minimize the risk of evidence loss, witness memory fading, and ongoing harm to parties
13. In the context of CEA certification, what is the most important consideration when implementing stakeholder rights & responsibilities? → Ensuring alignment with established standards, stakeholder needs, and best practices
14. An ethical leader notices that a company policy inadvertently disadvantages a minority group. The best course of action is to: → Document the disparate impact and advocate for policy review
15. A company claims its products are 'eco-friendly' without any independent verification or specific data. This behavior violates which core ethical principle? → Honesty and transparency
16. According to the Josephson Institute's Six Pillars of Character, which pillar requires honoring commitments even when it is costly or inconvenient? → Trustworthiness
17. What role do integrity standards play in organizational ethics? → They establish expected ethical conduct
18. When documenting witness interviews, the best practice is to: → Create contemporaneous notes capturing questions asked and key answers given
19. An investigator concludes that the evidence is inconclusive and a policy violation cannot be confirmed or denied. The correct finding to report is: → Not sustained — the evidence did not support the allegation to the required standard
20. Which scenario best illustrates a company fulfilling its responsibility to future generations as stakeholders? → Investing in renewable energy to reduce long-term environmental impact
21. An AI system trained on historical lending data learns to deny loans at higher rates to certain zip codes. This is an example of: → Proxy discrimination
22. An employee whistleblower reports ethical violations internally but management ignores the concern. What is the employee's ethical responsibility next? → Escalate through available channels, including external regulators if necessary
23. Which of the following is an example of ethical leadership? → Demonstrating consistent ethical behavior and fairness
24. A hospital board member also serves on the board of a pharmaceutical company that sells drugs to the hospital. This is BEST classified as: → A structural or positional conflict of interest
25. When using the SEAR framework (Stop, Evaluate, Act, Reflect), what is the purpose of the 'Reflect' step? → To review the decision after implementation and incorporate lessons learned
26. What is the primary ethical purpose of an Environmental Impact Assessment (EIA)? → To evaluate potential environmental consequences of a proposed project before approval
27. A company's conflict of interest committee reviews a disclosed conflict and decides no action is needed. The MOST important next step is: → Documenting the review decision and rationale in writing
28. Which principle best describes an organization's duty to be transparent about its decision-making processes? → Transparency
29. A company operating in a country where 'speed money' to customs officials is culturally routine should: → Prohibit such payments and find compliant alternatives regardless of local norms
30. Which board committee is primarily responsible for overseeing a company's financial reporting and internal controls? → Audit Committee